Potential Kawhi Leonard Extension Details Damage Toronto Raptors' Future

It only took two and a half months, but the Toronto Raptors and Los Angeles Clippers have finally agreed to trade seven-time All-Star Kawhi Leonard for two-time All-Star Brandon Ingram, Gradey Dick, and extensive draft compensation. After a year-long investigation stalled the deal, along with uncertainty in Clippers management, the Raptors and their fans have finally gotten their wish: they can move on and look forward to next season with a two-time Finals MVP joining franchise cornerstone Scottie Barnes. 

With the former No. 15 pick in the 2011 NBA draft set to join the team for media day and training camp in Quebec City, there is still one roadblock in the way: a contract extension. Leonard is set to become an unrestricted free agent next summer, and it’s been discussed that he would likely sign an extension once he was officially traded. With step one completed, step two should follow suit in the coming days. 

As that news is set to break at any time, TSN Sports’ Josh Lewenberg gave some insight as to what the details of his new deal could look like. 

“[Leonard]’s eligible for a two-year extension worth up to $126 million,” said Lewenberg. “It might not come in at his max, but I think he’ll get pretty close to that, and I would expect that it’ll happen soon, before training camp.” 

This number may be alarming to many fans unaware of the potential logistics. If Leonard is given $60 million per year, the total salary owed to him, Barnes, Jakob Poeltl, and Immanuel Quickley would be $164,647,630. Add in three key bench pieces in Collin Murray-Boyles, Ja’Kobe Walter, and Allen Graves, and that number rises to $181,752,682. That still doesn’t include RJ Barrett, who is also entering the final year of his contract and earning $29.6 million next season. 

The salary cap in 2027-28 is projected to be at $176 million (via Fred Katz). The dreaded first apron luxury tax line is set to be at $223 million, with the second apron following at $236.5 million. The Raptors will undoubtedly be above the salary cap (as is almost every team in the NBA), but giving Leonard such a significant extension could be extremely dangerous for the franchise moving forward. This much money would almost certainly move them into the first apron, considering general manager Bobby Webster would still have to sign contracts to several more players. 

Entering the first apron applies significant restrictions for both trading and signing players. This will likely impact the Raptors’ ability to find the right depth pieces over Leonard’s two-year extension. Not to mention, the young guys will all be expecting to sign substantial deals, assuming their progression stays on track over the next few seasons, so once Toronto enters the first apron, it may be very difficult to exit. None of that matters if Leonard and the Raptors are able to win the franchise’s second championship, though. But at the end of the day, if Webster is able to negotiate with the 35-year-old superstar with an injury history for less money, it may save the franchise’s immediate future.